Thursday's Stock Market Report from UK-Analyst: featuring Randgold Resources, Trap Oil and Mood Media

From UK-Analyst.com: Thursday 27th December 2012 The Markets On a predictably quiet day for corporate newsflow most attention was focused upon the imminent "fiscal cliff" situation in the US. With new tax rises and sweeping spending cuts due to come into effect in just a few days time the fear is that the US will be plunged back into recession. Speaking in the US Senate, Democrat Harry Reid said that there did not seem to be enough time to create a new deal and that it looks like the country is heading over the edge. At the London close the Dow Jones was down by 128.83 points at 12,985.76 and the Nasdaq was down by 29.72 at 2,607.46. In London the FTSE 100 edged up by 0.12 points to 5,954.30; the FTSE 250 gained 1.88 to 12,397.68; the FTSE All-Share added 0.42 to 3,118.98 and the FTSE AIM Index closed up by 5.06 at 700.73. Blue Chips & Mid Caps A fire in the mill section at Randgold Resources' (RRS) Tongon gold mine in Côte d'Ivoire has caused the miner to revise down its annual production figures for the operation. The blaze started on Christmas Eve during a planned shutdown for repairs in the No 1 mill cyclone feed pipe and then spread to the No 1 & 2 cyclone clusters before being extinguished. Both milling circuits are expected to be operational within ten days, with the mill classification circuits expected to be fully operational within three to four weeks following receipt of spare parts. This caps off a difficult year for the mine which has experienced power supply problems since being connected to the grid last December. The issues are estimated by Randgold to have cost it around 50,000 ounces in lost production. Tongon is now forecast by Randgold to produce 208,000 ounces of gold for the full year, down from last year's 250,390 ounces. The shares fell by 30p to 6,090p. Regional shopping centre owner Capital Shopping Centes (CSCG) has agreed terms to acquire the 50% stake it does not already own in Xscape Braehead for 4 million pounds. Xscape Braehead owns a 370,000 sq ft family entertainment destination next to CSC's Braehead shopping centre in Glasgow and made net rental income of 3.2 million pounds and a pre-tax profit of 3.4 million - including a 2.8 million pounds gain on revaluation of property - in 2011. The shares reacted by rising by 1.7p to 362.9p. Hansteen Holdings (HSTN), the real estate investor, has acquired a portfolio of multi-let industrial estates, for a total of 60 million pounds (56.8 million pounds net). The portfolio comprises 32 estates, totalling 1.6 million sq ft, located across the UK. It has a current annual rent roll of 6.1 million pounds, a vacancy rate of 16% and an estimated rental value (ERV) of 6.7 million pounds per annum, giving a chunky net initial yield of 10.1%. The deal will be paid for in a mixture of cash and via a new facility with the Royal Bank of Scotland. Hansteen added that it has also completed the acquisition of Zeppelin Park, a 160 hectare industrial park located in western Berlin, for 11.3 million euros. Shares in Hansteen inched up by 0.1p to 78.85p. Small Caps & AIM Trap Oil (TRAP), the North Sea hydrocarbons explorer, saw its shares remain flat at 16.75p after it announced an operations update. On a slightly downbeat note the firm said that its Romeo exploration prospect has suffered operational and weather related delays and as such is currently some 16 days behind schedule. Romeo, in which Trap Oil has a 12.5% carried interest, is currently being drilled to an estimated total depth of 15,180 feet. The prospect has a best estimate gross prospective resources of approximately 44 million barrels of oil equivalent, with 3.3 mmboe net to Trap. The company also announced an update on its acquisition of a 15% working interest in the Athena Field, completed last week. Trap estimates that the most likely unaudited gross recoverable reserves attributable to Athena are in the low to mid teens of million barrels, with the field currently achieving a steady production rate of approximately 11,000 bopd gross, with no water production. At current production levels, associated costs and oil prices Trap Oil's monthly income from the Athena Field will be approximately 2 million pounds, with payback expected in little more than a year, assuming no significant decline in production and a steady oil price. See what infamous bear raider Evil Knievil has to say on Trap Oil - SIGN UP FOR t1ps.com NOW! Mood Media (MM.), the in-store audio-visual designer, has acquired the assets of Technomedia Solutions and sister company, GoConvergence, for an initial $23 million in cash. Florida based Technomedia is a provider of audio-visual and interactive media development, technology design, and integration services, with clients including Abercrombie & Fitch, Hard Rock Café International, Cirque du Soleil, Wanda Group as well as leading entertainment and education clients globally. In 2012, Technomedia is expected to generate annual revenues of $43 million and EBITDA of $5.7 million and the deal is expected to be immediately accretive to earnings. Mood Media shares closed up by 4.5p at 113p. Bellzone Mining (BZM), the iron/nickel/copper asset developer, shipped its first iron ore from the Forecariah joint-venture operation in the Republic of Guinea, West Africa on Boxing Day. The Forecariah iron ore mine commenced production in May 2012 and is a 50/50 joint-venture between Bellzone and China International Fund. Bellzone will issue a more detailed statement on 3rd January. The shares were unmoved at 14.5p. Allergy Therapeutics (AGY) has terminated its agreement with Lincoln Medical, the producer of adrenaline injector Anapen, for the product's distribution rights in a number of countries. This comes after Lincoln Medical undertook a voluntary drug recall of Anapen for all unexpired units of the product in the UK, as a precautionary measure due to a potential problem with delivery time and delivery volume of the dosage following activation of the auto-injector. The product was not a significant contributor to the group, with sales for the half year across all territories to December 2011 from Anapen being 845,000 pounds, compared to total revenues of 28.5 million pounds. Shares in the firm slipped by 0.125p to 11.625p.

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